OOfff

set your personal contribution to the minimum that tops up to the 415c limit.

69k limit, on 345k wages. If you’ll make >345k, contribute only (69,000- (345000*.17))=10,350 of your own money.

if you’ll make less than 345k, adjust the $10,350 up to make company contribution + personal = $69,000 or less

higney85

this is a big deal to anyone with 2-legged liabilities. A 401k tends to be sheltered, where an IRA is fair game. An umbrella policy, much like term life insurance, is needed once one has their “prides of joy”. Rewards require risk. Hedge it.

higney85

Well, A conversion isn't a contribution, so the balance doesn't rise. But a Contribution raises the overall balance. Both have taxes, but one version raises the balance. 401A Roth conversion is NOT elgible for conversion to a Roth IRA until seperation per the plan limits. Only 401A (straight and non-converted) can be moved to an IRA, then needs to be converted to a SEP IRA/Roth IRA (real estate or mega back door). At the end of the year, your 401K balance would be higher (assuming same investments) with a 401A to ROTH conversion vs a simple company contribution conversion. Same taxes paid on said conversion (per dollar) vs going Roth in contibutions. Roth is great, but you may still want a taxable balance. For example, for 2024, you dont hit the 32% tax bracket until $383,900, 22% goes up to $201,050. So having taxable money is not a bad thing, but hedging yourself into a situation where you can pull from taxable to XX% taxable, then use Roth (0%), then captial gains tax bracket (up to 20%) can work to mitigate taxes and maximize retirement. DYYOD. Seek a CPA/CFP for advice.

PC12HBC

I have discovered a discrepancy on my W2 for 2023, specifically in the box for 401k contributions. It was a bit short of what I had shown on my stubs for total contributions.
I took a look at my pay stubs, and back on the first check in October, a separate line for 401K contributions was added,
with my prior YTD contributions one a now-unused line below it.

Lo and behold, my Oct-Dec contributions, on a new/separate line, total to the exact amount missing from my W2 12D* box.
It seems when accounting implemented the MBCBP, at least some of those who did not opt out had a 2nd 401k line started on their stubs, and the W2 system did NOT include that "new" line.

I did audit taxable wages vs. deductions via my final stub, and those amounts are correct, so the error seems to be limited to the 401k contribution box only.

Anyone else on the MBCBP seeing this?

higney85

Expect a corrected W-2…

gloopy

For everyone automatically, or only after you discover it and tell someone?

Planetrain

Check your company email